Edinburgh Airport 'absolutely needs to invest to maintain itself as Scotland's flagship gateway'
Huge terminal expansion endorsed by aviation analysts
The major expansion of Edinburgh Airport’s passenger terminal is essential for the operation to stay ahead - and is also badly needed, aviation experts have told The Scotsman.
The £500 million revamp over the next five years comes as Scotland’s busiest airport continues to break passenger records and is expected to handle nearly 18 million this year.
Airport chiefs said virtually nothing would be left untouched as they embark on a top-to-toe overhaul to enlarge the building by 60 per cent.
Analyst John Strickland of JLS Consulting said: “Edinburgh remains the flagship gateway airport for Scotland and absolutely needs to invest to maintain and develop this position for the future.
“Its infrastructure has come under increasing pressure as passenger numbers have grown.
“It has to balance new investment with the uncertainty facing the industry currently, in particular geopolitical challenges and the question of sustainability.
“Investment must be planned in a way that it is affordable to passengers and flexible enough to adapt to changes in airline business models and in the type and size of aircraft used.”
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Saj Ahmad, chief analyst at StrategicAero Research, said: “Expansion of baggage and immigration halls as well as stand and gate increases will be key to opening up more slot availability and make the airport more attractive.
“Investing now is critical because passenger numbers are clearly rising and the airport does not want to be in a position where it’s playing capacity catch up.
“We’ve seen horrendous bottlenecks for flights at places like Birmingham Airport and that’s exactly what Edinburgh will be keen to avoid.”
Andrew Charlton, managing director of Aviation Advocacy, said: “Does Edinburgh need capacity? Yes, it does. The growth projections are not outrageous and even if they are optimistic, given geopolitics etc, it is impossible to imagine that Edinburgh falls off the map.
“It is arguable that with no growth at all there is a need for expansion.
“Capacity catching up - as opposed to build-it-and-they-will-come - is a sensible way to go and less likely to be opposed by airlines that hate having to fund future growth.”
Gonzalo Velasco, practice lead for airports at consultancy Steer, said: “Airport expansion is one of the most complex investment decisions facing operators.
“Infrastructure must be planned and financed years in advance, while passenger demand, airline strategies and operating costs can change significantly over much shorter periods.
“Since the pandemic, the aviation industry has become increasingly conscious of its exposure to external shocks, from geopolitical instability and rising costs to changes in consumer demand.
“The challenge for airport investors and operators is to strike the right balance between providing sufficient capacity to accommodate future growth, maintaining a positive passenger experience and ensuring that investment remains commercially sustainable.
“Increasingly, this means considering a range of possible demand scenarios and adopting phased approaches that allow infrastructure to respond to changing market conditions.
“By comparison, airlines can adjust their networks and capacity relatively quickly in response to market conditions.
“Ultimately, successful airport expansion is not simply about building more capacity. It’s about making the right investments, at the right time, supported by a business case that can withstand uncertainty and deliver long-term value.”
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